Diversity Forum: The Value Proposition of Inclusion

Transcription

1 Diversity Forum: The Value Proposition of Inclusion Claire Marchant, Practice Advisor/Equity Ombudsperson Law Society of British Columbia Law Society of British Columbia. See >Terms of use

2 The Law Society of British Columbia: Regulating in the Public Interest

3 The Law Society of British Columbia: Practice Advisor/Equity Ombudsperson

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5 Diversity & Inclusion In Context Definitions Because diversity represents all the ways we differ, inclusion harnesses those elements productively. Beliefs, backgrounds, talents, capabilities, and ways of life inclusion aims to leverage them to facilitate an environment of involvement, respect, and connection, and ultimately, create business value. - Rob Danna, Strategic Inclusion as a Value Proposition? Absolutely

6 Diversity & Inclusion In Context Definitions Diversity is being invited to the party. Inclusion is being asked to dance. - Verna Myers

7 Diversity & Inclusion In Context Shifting Perspectives Non-Millennials Representation Religion Demographics Equality Millennials Respecting identities, unique experiences, ideals, opinions, thoughts Connecting team members to foster listening, being heard, respect Source: The Radical Transformation of Diversity and Inclusion: The Millennial Influence, Deloitte, 2015

8 Diversity & Inclusion In Context The M Word How many people employed in the US today are millennials? 17.2%? 30.7%? 53.5%? Source: Millennials@Work: Perspectives on Diversity and Inclusion

9 Diversity & Inclusion In Context The M Word How many people employed in the US today are millennials? 17.2%? 30.7%? 53.5%? During Q1 2015, Millennials became the largest share of the American workforce (surpassing Generation X). Source: Millennials@Work: Perspectives on Diversity and Inclusion

10 Diversity & Inclusion Employee Perspectives Why do employees think it matters? Source: Perspectives on Diversity and Inclusion

11 Diversity & Inclusion Tangible Results The Value Proposition Profits Performance Communication Team Adaptability Recruitment Retention Customers

12 Diversity & Inclusion Tangible Results The Value Proposition - Profits Companies with inclusive talent practices in hiring, promotion, development, leadership, and team management generate up to 30 percent higher revenue per employee and greater profitability than their competitors. Source: Diversity and inclusion: The reality gap, 2017 Global Human Capital Trends, Deloitte, 2017 A 2015 McKinsey report on 366 public companies found that those in the top quartile for ethnic and racial diversity in management were 35% more likely to have financial returns above their industry mean, and those in the top quartile for gender diversity were 15% more likely to have returns above the industry mean. Source: Rock, David and Grant, Heidi, Why Diverse Teams are Smarter Harvard Business Review

13 Diversity & Inclusion Tangible Results The Value Proposition - Profits In a global analysis of 2,400 companies conducted by Credit Suisse, organizations with at least one female board member yielded higher return on equity and higher net income growth than those that did not have any women on the board. Source: Rock, David and Grant, Heidi, Why Diverse Teams are Smarter Harvard Business Review U.S. based think tank Catalyst (2007) found that companies with a share of female board directors outperformed on three financial measures: return on equity (53% higher), return on sales (42% higher), and return on invested capital (66% higher). Source: Research Report Towards Gender Parity: Women on Boards Initiative, Deloitte, 2016

14 Diversity & Inclusion Tangible Results The Value Proposition - Performance Inclusive teams outperform their peers by 80% in team-based assessments. Source: Deloitte Australia. Diverse and inclusive teams are more innovative, engaged, and creative. Source: Diversity and inclusion: The reality gap, 2017 Global Human Capital Trends, Deloitte, 2017 But why? What s driving these results?

15 Diversity & Inclusion Tangible Results The Value Proposition - Performance Diverse teams are smarter: Focus on and determine facts more accurately Example the jury simulation study (Journal of Personality and Social Psychology) Innovative Example study shows culturally diverse teams more likely to develop new products (Economic Geography) Imagine what s possible - Companies that drive innovation by leveraging employee ideas and knowledge meet product revenue targets 46 percent more often and product launch dates 47 percent more often than industry peers. Source: Hoffman, Lane, Posner, and Nagel, Measurement: Proving the ROI of Global Diversity and Inclusion Efforts, Global Diversity Primer More effective problem solving Example - the Medici Effect

16 Diversity & Inclusion Tangible Results The Value Proposition - Performance Employees who are engaged are more productive: Study: Diverse work teams, with proper management and training, produced results six-times higher than homogeneous teams. Source: Hoffman, Lane, Posner, and Nagel, Measurement: Proving the ROI of Global Diversity and Inclusion Efforts, Global Diversity Primer People need to feel included to speak and contribute. Source: Diversity and inclusion: The reality gap, 2017 Global Human Capital Trends, Deloitte, 2017

17 Diversity & Inclusion Tangible Results The Value Proposition - Communication Even if we are both speaking the same language, we might not be communicating effectively: Different vocabularies Different communication choices Different communication styles Diverse, inclusive teams bridge these communications gaps and allow us to feel heard and truly hear each other.

18 Diversity & Inclusion Tangible Results The Value Proposition - Team Employees who feel included are more invested in their employer s success Connect the team to the mission Connects into performance problem solving, innovation, engagement

19 Diversity & Inclusion Tangible Results The Value Proposition - Adaptability

20 Diversity & Inclusion Tangible Results The Value Proposition - Recruitment Source: Millennials@Work: Perspectives on Diversity and Inclusion

21 Diversity & Inclusion Tangible Results The Value Proposition - Retention A recent study from The Center for Talent Innovation found that 23 percent of women feel stalled in their careers and feel that they are being passed over for important opportunities without a clear reason Source: Sherbin, Laura and Rashid, Ripa, Diversity Doesn t Stick Without Inclusion, Harvard Business Review Source: Millennials@Work: Perspectives on Diversity and Inclusion

22 Diversity & Inclusion Tangible Results The Value Proposition - Customers Companies that embrace diversity and are competent at inclusion enhance customer loyalty. When the workforce is diverse and representative of target customers and partners there is an inherent understanding of the unique requirements of different markets. It has been found that more than half of all international joint ventures fail within two or three years, due to a lack of cultural competency versus technical or professional expertise. Communities seek out organizations they can identify with or feel supported by. Source: Hoffman, Lane, Posner, and Nagel, Measurement: Proving the ROI of Global Diversity and Inclusion Efforts, Global Diversity Primer

23 Diversity & Inclusion In Practice High-Level Solutions Firm culture change starts at the top Consider: What about firm culture could be more inclusive? What do you think?

24 Diversity & Inclusion In Practice High-Level Solutions Firm culture change starts at the top Consider: What about firm culture could be more inclusive? What do you think? How can we retain employees who want balance? How can we remove unconscious bias from our hiring process and performance management? How can we hear each other better? How can we let people know they are valued as an individual?

25 Diversity & Inclusion In Practice The Law Firm Setting Creating an Inclusive Firm Setting Some Ideas: Training Alternative billing arrangements Alternatives to full-time employment Mentorship Blind resume reviews Creating safe spaces for communication and problem solving

26 Diversity Forum: The Value Proposition of Inclusion Claire Marchant, Practice Advisor/Equity Ombudsperson Law Society of British Columbia Law Society of British Columbia. See >Terms of use